ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the fiscal period ended December 31, 2013

OR

¨

TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from
to

COMMISSION FILE NUMBER: No 1934 act file number assigned

(1933 act file no. 2-65481)

SADDLEBROOK
RESORTS, INC.

(Exact name of registrant as specified in its charter)

Florida

59-1917822

(State of incorporation)

(IRS employer identification no.)

5700 Saddlebrook Way, Wesley Chapel, Florida 33543-4499

(Address of principal executive offices)

813-973-1111

(Registrants telephone number, including area code)

SECURITIES REGISTERED PURSUANT TO SECTION 12(b) OF THE ACT: None

SECURITIES REGISTERED PURSUANT TO SECTION 12(g) OF THE ACT: None

Indicate by check mark if the registrant is a well-known seasoned issuer, as defined in Rule 405 of the Securities Act. YES ¨ NO x

Indicate by check mark
if the registrant is not required to file reports pursuant to Section 13 or Section 15(d) of the Exchange Act. YES ¨ NO x

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by
Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past
90 days. YES x NO ¨

Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Data File required
to be submitted and posted pursuant to Rule 405 of Regulation S-T (§ 229.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such
files). YES x NO ¨

Indicate by check mark if disclosure of delinquent filers pursuant to Item 405 of Regulation S-K is not contained herein, and will not be contained, to
the best of registrants knowledge, in definitive proxy or information statements incorporated by reference in Part III of this Form 10-K or any amendment to the Form 10-K. Not applicable

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller reporting company. See
definition of accelerated filer, large accelerated filer and smaller reporting company in Rule 12b-2 of the Exchange Act.

Large accelerated filer

¨

Accelerated Filer

¨

Non-accelerated filer

¨

Smaller reporting company

x

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange
Act). YES ¨ NO x

The aggregate market value of the voting and nonvoting common equity held by non-affiliates of the Registrant as of the last business day of the
Registrants most recently completed second fiscal quarter was zero, as all of the common equity of the Registrant is held by an affiliate of the Registrant.

Indicate the number of shares outstanding of each of the registrants classes of common stock, as of the latest practicable date: Not applicable

Saddlebrook Resorts, Inc., (the Company) was incorporated in the State of Florida on
June 20, 1979. It was formed to acquire an existing golf course and tennis club located in Pasco County, Florida, and develop it into a condominium resort and residential homes project named Saddlebrook Resort (the Resort). In
November 1988, the Company transferred its real estate development division to its prior parent company and retained only its operation of the Resort.

The Company is currently owned by Saddlebrook Holdings, Inc., which is ultimately owned by Thomas L. Dempsey and his family. Mr. Dempsey acquired the
Company from its prior parent company in November 1988.

Based on its numerous awards, the Resort has a reputation as a world-class facility that caters
to corporate meeting planners and sports enthusiasts at all skill levels. As a destination resort, it offers luxury accommodations, convention facilities, restaurants, two golf courses, tennis courts, a spa and other recreational areas. An
accredited preparatory school at the Resort and an on-site real estate sales office are operated by affiliates of the Company.

The Resorts
accommodations are condominium units that have been sold to third parties or to affiliates of the Company. The majority of the condominium units participate in a rental-pooling program (the Rental Pool) that provides its owners with a
percentage distribution of related room revenues minus certain fees and expenses. The remainder of the condominium units participate in a non-pooling rental program, are owner-occupied or are designated as hospitality suites or housing for young
athletes independent of the rental programs.

All of the Resorts condominium units are governed by the Saddlebrook Resort Condominium Association,
Inc. (the Association) in accordance with Florida statutes. The Board of Directors for the Association is elected by the condominium unit owners. The condominium unit owners also approve an annual budget of common expenses for the
Association that determines their quarterly assessments that must be paid regardless of the units participation in rental programs.

A Resort
condominium units participation in a rental program also requires a club membership at the Resort with its separate initiation fees and quarterly dues. The club membership is directed by a Board of Governors appointed by the Companys
management.

The Companys operation of the Resort is not considered to be dependent upon the availability of raw
materials, nor the effect of the duration of patents, licenses, franchises or concessions held.

The Resorts business is considered to be seasonal
with a higher volume of sales during the winter and spring seasons.

Although the Resorts reputation in the conference-hosting industry is
excellent, the market for these services is extremely competitive. Consequently, the Resort aggressively competes against numerous resort hotels and convention facilities both in central Florida and nationwide.

At December 31, 2013, there were approximately 631 persons employed by the Company. The Companys management relationship with its employees is
excellent and there are no collective bargaining agreements.

Item 1A.

Risk Factors

Not applicable.

Item 1B.

Unresolved Staff Comments

None.

Item 2.

Properties

Saddlebrook Resort is located in Wesley Chapel, Florida, which is in south central Pasco County,
immediately north of Tampa, Florida.

The Resort is inside the gated community of Saddlebrook. The Resorts property includes approximately 480 acres
of land that are owned by the Company and an affiliate. Located on the Resorts property are convention facilities with over 95,000 square feet of meeting and function space, three restaurants, two 18-hole golf courses, 45 tennis courts, a
7,000-square foot luxury health spa, a 7,500-square foot fitness center, three swimming pools, shops and other operational and recreation areas.

A total
of 556 condominium units are at the Resort comprised of one-, two- and three-bedroom suites. Of these condominium units, 408 are designed for hotel occupancy and located in an area called the Walking Village. The remaining 148 are slightly larger,
designed for longer-termed rental, and are located in an area called the Lakeside Village. At December 31, 2013, there were 529 hotel accommodations participating in the Rental Pool. The three-bedroom condominium units become hotel
accommodations as a two-bedroom suite with a separate adjoining hotel room. Some two-bedroom condominium units become hotel accommodations as a one-bedroom suite with a separate adjoining hotel room.

The Company is involved in litigation in the ordinary course of business. In the opinion of
the Companys management, insurance or indemnification from other third parties adequately covers these matters. The effect, if any, of these claims is considered immaterial to the Companys financial condition and results of operations.

The Companys stock is privately held and
there is no established market for the stock.

The right to participate in a rental pool that accompanies the condominium units that were developed and
sold by the Company is deemed to be a security. However, there is no market for such securities other than the normal real estate market.

Since the
security is the participation right in a rental pool, no dividends have been paid or will be paid to condominium unit owners. However, the condominium unit owners participating in the Rental Pool receive a contractual distribution of rent from the
Company quarterly.

Item 7. Managements Discussion and Analysis of Financial Condition and Results of Operations

General

The Company operates the Resort, which
contains condominium units that have been sold to third parties or to affiliates of the Company. The majority of the condominium units are hotel accommodations that participate in the Rental Pool. Other resort facilities owned by the Company and its
affiliates include golf courses, tennis courts, a spa, restaurants and a conference center.

Recent Accounting and Reporting Pronouncements

From time to time, new accounting pronouncements are issued by the Financial Accounting Standards Board (FASB) or other standard setting
bodies that may have an impact on our accounting and reporting. We believe that such recently issued accounting pronouncements and other authoritative guidance for which the effective date is in the future either will not have an impact on our
accounting or reporting or that such impact will not be material to our financial position, results of operations, and cash flows when implemented.

Critical Accounting Policies and Estimates

The
following accounting policies are considered critical by the Companys management. These and other accounting policies require that estimates be made based on assumptions and judgment that affect revenues, expenses, assets, liabilities and
disclosure of contingencies in the Companys financial statements. These estimates and assumptions are based on historical experience and on various other factors that are believed to be reasonable under the circumstances. However, actual
results may differ from these estimates due to different conditions.

Asset Impairments  The Companys management periodically evaluates
whether there has been a permanent impairment of long-lived assets. The Companys management believes that the accounting estimates related to asset impairments are critical estimates for the following reasons: (1) the ongoing changes in
managements expectations regarding future utilization of assets; and (2) the impact of an impairment on reported assets and earnings could be material. During the years ended December 31, 2013 and 2012, the Companys management
evaluated assets for impairment and concluded that the sum of the undiscounted expected future cash flows (excluding interest charges) from its assets exceeded their then current carrying values. Accordingly, the Company did not recognize an
impairment charge.

Depreciation Expense  The Company provides for depreciation using the straight-line method at annual rates that amortize the
original costs, net of salvage values, of the depreciable assets over their estimated useful lives. Managements estimation of assets useful lives are critical estimates for the following reasons: (1) forecasting the salvage value
for long-lived assets over a long period of time is subjective; (2) changes may take place that could render an asset obsolete or uneconomical; and (3) a change in the useful life of a long-lived asset could have a material impact on
reported results of operations and reported asset values. The Companys management believes the estimated useful life corresponds to the anticipated physical life for most assets. Although it is difficult to predict values far into the future,
the Company has a long history of actual costs and values that are considered in reaching a conclusion as to the appropriate useful life of an asset.

Revenue Recognition  The Companys revenues are derived from a variety of sources including, but not
limited to, hotel operations, food and beverage operations, retail sales, golf course greens fees, and are recognized as products are delivered or services are performed. Revenues from membership initiation fees are recognized over the average life
of the memberships, which management has estimated to be approximately 12 years.

Allowance for Doubtful Accounts  The Company establishes an
allowance for doubtful accounts for accounts receivable based upon factors surrounding specific customers, historical trends and other information.

Loss
Contingencies  The Company estimates loss contingencies in accordance with Financial Accounting Standards Board (FASB) Accounting Standards Cudification (ASC) 450-20 Loss Contingencies, which states that a loss contingency shall be
accrued by a charge to income if both of the following conditions are met: (a) information available before the financial statements are issued or are available to be issued indicates that it is probable that a liability had been incurred at
the date of the financial statements and (b) the amount of loss can be reasonably estimated. We do not believe that the ultimate resolution of our litigation matters will have an adverse effect on the Companys financial position and
results of operations. As such, there have been no adjustments for loss contingencies to the accompanying financial statements as of and for the year ended December 31, 2013.

See the Notes to the Financial Statements for Saddlebrook Resorts, Inc. in Item 8 hereof for additional accounting policies used in the preparation of
the financial statements.

Impact of Current Economic Conditions

As a result of the continuing economic recession, the hospitality industry has suffered declines in terms of hotel rates and occupancy during 2013 and 2012.
These negative industry trends have similarly impacted the Companys revenues during this period, which contributed to the Companys approximate $823,000 net loss in 2013 and an approximate $2,722,000 net loss in 2012.

In response to this situation, management has implemented the following programs and measures to help the Company mitigate these unfavorable conditions:

A. Management has continued its focus on controlling the variable costs for the Company. This includes reducing labor costs and sales and marketing expenses
by actively reviewing the Companys lodging, food and beverage, and facilities demands and attempting to match them with the appropriate level of resources.

B. During the first quarter of 2014, the Company has experienced increased resort revenues primarily due to increased group bookings and the related activity
compared to the same period in 2013. During 2013 and through the first quarter of 2014, the Company has continued to invest significantly in the grounds and building exteriors to increase the attractiveness of the Resort for potential group and
social customers planning for conferences, meetings or social events such as weddings. As a result of this investment, the Company has experienced and expects to continue to experience increased group bookings for the remainder of the first half of
2014. These increased bookings are expected to positively impact the Companys results of operations and cash flows during 2014.

C. The Company is
in its fourth year of its association with two top golf teaching professionals which has significantly increased the brand awareness and recognition of the Companys affiliated Golf and Tennis Academy by industry leaders. As stated above, the
Company has significantly invested in the Resorts grounds, specifically upgraded golf training facilities. In addition, the Company has been and will continue to appeal to international students by aligning with organizations that have the
ability to direct these potential students to the Golf and Tennis Academy. These investments have resulted in increased numbers of students attending the Golf and Tennis Academy as well as increasing the number of golf campers attending the resort
during 2013 and 2014.

Future operating costs and planned expenditures for minor capital additions and improvements are expected to be adequately funded by the Company and its
affiliates current cash reserves and cash generated by the Resorts operations.

The Companys term note obtained from a third-party
lender bears interest at 2.5% over the one month LIBOR index (2.69% at December 31, 2013) and matures in March 2014. The Companys third party lender has granted an extension on the existing term note through June 12, 2014. The
Company is currently in negotiations with several third party lenders to refinance the existing term note. The Companys ultimate shareholder has the financial ability and intent to satisfy the current term note due June 12, 2014, should
the Company be delayed in securing replacement financing. The Company had a $1,500,000 line of credit from the same lender that expired on June 30, 2013. There were no amounts outstanding on the line of credit at December 31, 2013.

The Companys ultimate shareholder has the financial ability and intent to continue to fund operations through affiliated companies that are 100% owned
by the Companys ultimate shareholder to the extent required to support the Companys operations. During 2013, the Company received approximately $1 million in loans from these affiliated Companies which was a reduction of the amount of
loans the Company received from these affiliated entities by approximately $1.6 million in 2012. In addition to the shareholders financial ability, these affiliated companies are expected to continue to generate positive cash flows during
fiscal 2014 should additional funding be required to support the Companys operations.

The Companys operation of the Resort is not considered
to be dependent on any individual or small group of customers, the loss of which would have a material adverse effect on the Companys business or financial condition.

The following chart highlights changes in the sources of Company revenues:

Year ended December 31,

2013

2012

Rental Pool Revenues

26

%

28

%

Food and beverage

33

31

Resort facilities and other

41

41

100

%

100

%

2013 Compared to 2012

The
Companys total revenue decreased $3,268,000, or approximately 13%, from the prior year. Rental Pool revenue decreased $1,310,000, or approximately 17%. Both of these decreases are directly related to the reduced occupancy level in units
participating in the rental room program, when comparing the two fiscal periods. Total paid unit nights decreased by 21% however, the average room rate increased by 6%. Food and beverage revenues was also negatively impacted by the reduction in
resort guests, decreasing by 9% from prior year.

The Companys costs and expenses decreased $5,158,000, or approximately 17%. Costs and expenses of
the Rental Pool Operation decreased $375,000, or approximately 18%. This decrease is related to the decrease in Rental Pool revenues and also the Companys decision to purchase inventory and supplies from an external purchasing organization.

The Companys net loss improved by approximately $1,899,000. Amounts available for distribution to rental pool participants decreased by
approximately $619,000.

The Company is currently a member of a Qualified Subchapter S Subsidiary Group. Accordingly, no income tax
expense was reflected in the Companys operating results as the tax is assessed to the shareholders of its parent company. Income tax expense was not reflected in the Companys Rental Pool financial statements as the related income tax is
assessed to its participating condominium unit owners.

Off-Balance Sheet Arrangements

The Company does not have any material Off-Balance Sheet Arrangements that have or are reasonably likely to have a current or future effect on the financial
condition, changes in financial condition, revenues or expenses, results of operations, liquidity, capital expenditures or capital resources as defined in Regulation S-K Item 303(a)(4).

Item 7A.

Quantitative and Qualitative Disclosures about Market Risk

Not applicable.

Item 8.

Financial Statements and Supplementary Data

The financial statements, including the Reports of Independent
Registered Certified Public Accountants, for Saddlebrook Resorts, Inc. are included on pages 18 to 32 and for Saddlebrook Rental Pool Operation on pages 33 to 37. An index to the financial statements is on page 17.

Financial statement schedules have been omitted because they are not applicable or the required information is shown in the financial statements or notes
thereto.

Item 9. Changes in and Disagreements with Accountants on Accounting and Financial Disclosure.

The Company maintains disclosure controls and procedures (as defined in Rule 15d
 15 under the Securities Exchange Act of 1934, as amended) that are designed to provide reasonable assurance that information required to be reported in the Companys SEC filings is recorded, processed, summarized and reported within the
periods specified in the rules and forms of the SEC and that such information is accumulated and communicated to the Companys management, including its principal executive officer and principal financial officer, as appropriate, to allow
timely decisions regarding required disclosure. As of December 31, 2013, under the direction of our chief executive officer and principal financial officer, we evaluated the effectiveness of the design and operation of our disclosure controls
and procedures and concluded that our disclosure controls and procedures were effective at the reasonable assurance level.

In addition, management is
responsible for establishing and maintaining adequate internal controls over financial reporting. The Companys internal control framework and processes are designed to provide reasonable assurance to management and the Board of Directors
regarding the reliability of financial reporting and the preparation of the Companys consolidated financial statements in accordance with generally accepted accounting principles accepted in the United States.

As of December 31, 2013, management conducted an assessment of the Companys internal control over financial reporting based on the criteria
established in the Internal Control  Integrated Framework issued by the Committee of Sponsoring Organizations of the Treadway Commission. Based on the assessment, management concluded that, as of December 31, 2013, the Companys
internal control over financial reporting was effective.

This annual report does not include an attestation report of the Companys registered
public accounting firm regarding internal control over financial reporting. Managements report was not subject to attestation by the Companys registered public accounting firm pursuant to rules of the Securities and Exchange Commission
that permit the Company to provide only managements report in this annual report.

The Companys management, including its Chief Executive
Officer and Chief Financial Officer, does not expect that its disclosure controls and procedures and internal controls over financial reporting will prevent all errors and all fraud. A control system, no matter how well conceived and operated, can
provide only reasonable, not absolute, assurance that the objectives of the control system are met. Further, the design of a control system must be considered relative to its cost. Because of the inherent limitation in all control systems, no
evaluation of controls can provide absolute assurance that all control issues within the Company have been detected.

Changes in Internal Control over
Financial Reporting

There were no changes in the Companys internal controls over financial reporting during the quarter ended December 31,
2013, that have materially affected, or are reasonably likely to materially affect, the Companys internal control over financial reporting.

Chairman of the Board and Chief Executive Officer of the Company for more than five years. President of the Company until November 2000. Chairman and Chief Executive Officer of Saddlebrook Holdings, Inc. for more than five
years.

Eleanor Dempsey

Vice Chairman of the Board of the Company for more than five years. Director and Vice Chairman of the Board of Saddlebrook Holdings, Inc. for more than five years. Wife of Thomas Dempsey.

Gregory R. Riehle

Age
57

Senior Vice President and General Counsel of the Company for more than five years. Director and Executive Vice President of Saddlebrook Holdings, Inc. for more than five years. Son-in-law of Thomas Dempsey.

Maureen Dempsey

Age
55

Director, President and Assistant Secretary of the Company for more than five years. Director and President of Saddlebrook Holdings, Inc. for more than five years. Daughter of Thomas Dempsey.

Diane L. Riehle

Age
53

Director, Vice President and Assistant Secretary of the Company for more than five years. Director and Vice Chairman of the Board of Saddlebrook Holdings, Inc. for more than five years. Daughter of Thomas Dempsey.

Donald L. Allen

Age
74

Vice President and Treasurer of the Company for more than five years.

Code of Ethics

The Board of Directors of the Company has adopted a Code of Ethics that covers the Companys principal financial officer, principal accounting officer
and controller, as well as its Executive Committee. The Board did not provide for the Code to cover the Companys principal executive officer, Mr. Thomas Dempsey, as Mr. Dempsey is the controlling shareholder of Saddlebrook
Holdings, Inc., which owns all of the stock in the Company. All of the capital stock of Saddlebrook Holdings, Inc. is owned by Mr. Dempsey and trusts for the benefit of his two daughters, Maureen Dempsey and Diane L. Riehle, and their children,
therefore, it is primarily for the benefit of Mr. Dempsey that the Code has been adopted.

Audit Committee Financial Expert

The Board of Directors of the Company has determined that it does not have an audit committee financial expert, as defined by the rules of the
Securities and Exchange Commission, serving on the Board of Directors. The Board and Mr. Dempsey, the Companys principal shareholder, believe that there is adequate financial expertise on the Board and within the senior management of
the Company to serve the interests of the shareholders of Saddlebrook Holdings, Inc., which owns all of the stock of the Company, such shareholders being Mr. Dempsey and trusts for the benefit of his daughters and grandchildren.

The following table sets forth the remuneration paid to the Companys named
executive officers by the Company and its parent, Saddlebrook Holdings, Inc. consolidated, during the two years ended December 31, 2013 and 2012.

All of the outstanding shares of the Companys capital stock are owned by Saddlebrook Holdings, Inc. All of the capital stock of Saddlebrook Holdings,
Inc. is owned by Thomas L. Dempsey and trusts for the benefit of his two daughters, Maureen Dempsey and Diane L. Riehle, and their children. Thomas L. Dempsey is the controlling shareholder of Saddlebrook Holdings, Inc.

Item 13.

Certain Relationships and Related Transactions

The Company currently funds (through intercompany loans) a
portion of the expenditures for Saddlebrook Holdings, Inc. (SHI), its sole shareholder, which is offset by dividends declared thereto, if necessary. SHIs expenditures include dividends to its shareholders, which are primarily
amounts that approximate their income taxes related to the operations of SHI and its subsidiaries.

Saddlebrook International Tennis, Inc.
(SIT), which is solely owned by SHI, owns a 70% interest in Saddlebrook International Sports, LLC (SIS) which operates a tennis training facility and preparatory school at the Resort. SIS owns 10 condominium units at the
Resort, two of which participate in the Rental Pool Operation. The Company receives revenue for services provided to SISs guests. In addition, the Company is reimbursed for actual expenses and other costs incurred on behalf of SIT and SIS.

Saddlebrook Investments, Inc. is a broker/dealer for the Resorts condominium units. Saddlebrook Realty, Inc. is a broker for sales of other general
real estate in the area. Both companies are owned by Thomas L. Dempsey. These companies collectively operate an on-site real estate office at the Resort and the Company is reimbursed for actual expenses and other costs incurred on their behalf.

Dempsey and Daughters, Inc. holds certain tracts of real estate and owns 24 individual condominium units at the Resort, 10 of which participate in the Rental
Pool Operation. This Company is solely owned by SHI. The Company is reimbursed for actual expenses and other costs incurred on behalf of this company.

Saddlebrook Resort Condominium Association, Inc. is a nonprofit corporation whose membership is comprised of the Resorts condominium unit owners
pursuant to Florida statutes. The Company is compensated by this entity for various services provided and is reimbursed for actual expenses and other costs incurred on its behalf.

The Companys management and ownership are involved with other related entities and operations that are considered minor.

Cherry Bekaert LLP served as the Companys independent registered
certified public accounting firm for the fiscal years ended December 31, 2013 and December 31, 2012.

The following fees were paid for services
rendered during the Companys last two fiscal years:

Audit Fees: $86,000 per year for each of the fiscal years ended December 31, 2013 and 2012
for professional services rendered for the audit of the Companys annual financial statements, review of financial statements included in its Forms 10-Q and services that are normally provided by the auditors in connection with statutory
and regulatory filings or engagements for those fiscal years.

Audit-Related Fees: None

Tax Fees: None

All Other Fees: None

Effective May 6, 2003, the Board of Directors has implemented a policy requiring the Board of Directors, which functions as the Companys audit
committee, to approve the engagement of the Companys independent auditors prior to the engagement of the independent auditor to render audit or non-audit related services in accordance with the rules of the Securities and Exchange Commission.
The Board of Directors has not adopted any pre-approval policies or procedures.

PART IV

Item 15.

Exhibits and Financial Statement Schedules

(a)

Financial statements and schedules required to be filed are listed in Item 8 of this Form 10-K.

(b)

Exhibits:

3.1

Articles of Incorporation of Saddlebrook Resorts, Inc., a Florida corporation (incorporated by reference to Exhibit A*).

(1) Articles of Incorporation of the Saddlebrook Association of Condominium Owners, Inc. a Florida non-profit corporation;

(2) By-laws of the Saddlebrook Association of Condominium Owners, Inc., and (3) Rules and Regulations of the Saddlebrook Association of Condominium Owners, Inc. (incorporated by reference to Exhibit C*).

10.1

Management Contract between Saddlebrook Resorts, Inc. and the Saddlebrook Association of Condominium Owners, Inc. (incorporated by reference to Exhibit C*).

10.2

Saddlebrook Rental Pool and Agency Appointment Agreement. (incorporated by reference to Registrants Form 10-K for the annual period ended December 31,
2003)

Loan Agreement between the Registrant and SunTrust Bank, dated November 1, 2004 (incorporated by reference from the Registrants Form 10-Q for the quarterly period ended September 30, 2004).

10.8

Second Amended and Restated Mortgage, Security Agreement and Fixture Filing, between the Registrant and SunTrust Bank, dated November 1, 2004 (incorporated by reference to Registrants Form 10-Q for the quarterly period ended
September 30, 2004).

10.9

Promissory Note ($12 million) made by the Registrant and payable to SunTrust Bank, dated November 1, 2004 (incorporated by reference to Registrants Form 10-Q for the quarterly period ended September 30, 2004).

10.10

Revolving Line of Credit Promissory Note ($5 million) made by the Registrant and payable to SunTrust Bank, dated January 31, 2007 (incorporated by reference to Registrants Form 10-K for the fiscal year ending December 31,
2006).

10.11

Notice of Future Advance and Fifth Amended and Restated Mortgage, Security Agreement and Fixture Filing dated March 12, 2009 (incorporated by Reference to Registrants Form 10-K for the fiscal year ending
December 31, 2009).

10.12

Third Amendment to Loan Agreement dated March 12, 2009 (incorporated by reference to Registrants Form 10-K for the fiscal year ending December 31, 2009).

10.13

Consolidated, Amended and Restated Promissory Note dated March 12, 2009 (incorporated by reference to Registrants Form 10-K for the fiscal year ending December 31, 2009).

10.14

Future Advance Promissory Note dated March 12, 2009 (incorporated by reference to Registrants Form 10-K for the fiscal year ending December 31, 2009).

10.15

Revolving Line of Credit Promissory Note dated March 12, 2009 (incorporated by reference to Registrants Form 10-K for the fiscal year ending December 31, 2009).

10.16

Fifth Amendment to Loan Agreement and First Amendment to Consolidated, Amended and Restated Promissory Note dated December 15, 2011 (incorporated by reference to Registrants Form 10-K for the fiscal year ending December 31,
2011).

10.17

Fourth Amended and Restated Revolving Line of Credit Promissory Note dated December 15, 2011 (incorporated by reference to the Registrants Form 10-K for the fiscal year ending December 31, 2011).

Identification of exhibit incorporated by reference from the Registration Statement No. 2-65481 previously filed by Registrant, effective December 28, 1979.

Pursuant to the requirements of Section 13 or 15(d) of the Securities Exchange Act of 1934, the Company has duly caused this report to be signed on its
behalf by the undersigned, thereunto duly authorized.

SADDLEBROOK RESORTS, INC.

(Registrant)

Date: March 27, 2014

/s/ Donald L.
Allen

Donald L. Allen

Vice President and Treasurer

(Principal Financial and Accounting Officer)

Pursuant to the requirements of the Securities Exchange Act of 1934, this report has been signed below by the following
persons on behalf of the Company and in the capacities indicated on March 27, 2014.

We have audited the accompanying
balance sheets of Saddlebrook Resorts, Inc. (the Company) as of December 31, 2013 and 2012 and the related statements of operations, changes in shareholders equity, and cash flows for the years then ended. These financial
statements are the responsibility of the Companys management. Our responsibility is to express an opinion on these financial statements based on our audits.

We conducted our audits in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we
plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. The Company is not required to have, nor were we engaged to perform, an audit of its internal control over financial
reporting. Our audits included consideration of internal control over financial reporting as a basis for designing audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of
the Companys internal control over financial reporting. Accordingly, we express no such opinion. An audit also includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements, assessing the
accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audits provide a reasonable basis for our opinion.

In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of the Company as of
December 31, 2013 and 2012, and the results of its operations and its cash flows for the years then ended, in conformity with accounting principles generally accepted in the United States of America.

Adjustments to reconcile net loss to net cash used in operating activities

Depreciation and amortization

1,888,346

1,861,500

Net Gain on disposal of property, buildings and equipment

(657,935

)

(41,185

)

Additions (reductions) to allowance for doubtful accounts

11,900

12,734

Change in assets and liabilities

(Increase) decrease in

Escrowed cash

16,895

(42,090

)

Trade accounts receivable

(206,831

)

183,505

Resort inventory and supplies

42,926

209,643

Prepaid expenses and other assets

28,001

4,265

Increase (decrease) in

Escrowed deposits

(16,895

)

42,090

Accounts payable

234,578

(148,818

)

Accrued rental distribution

(129,774

)

(44,365

)

Accrued expenses and other liabilities

(265,433

)

25,314

Deferred income

(117,261

)

(248,462

)

Guest deposits

317,978

7,867

Net cash provided by (used) in operating activities

323,411

(900,142

)

Cash flows from investing activities

Proceeds from sales of property, buildings and equipment



2,335

Insurance proceeds from fire casualty

300,000



Capital expenditures

(881,235

)

(982,410

)

Net cash used in investing activities

(581,235

)

(980,075

)

Cash flows from financing activities

Principal payments on long-term debt

(577,331

)

(577,333

)

Payments on capital lease obligations

(68,734

)

(100,853

)

(Payments on) proceeds from line of credit

(1,500,000

)

1,500,000

Debt issunce costs

(6,506

)



Net advances from related parties

979,254

2,564,421

Net cash (used in) provided by financing activities

(1,173,317

)

3,386,235

Net (decrease) increase in cash and cash equivalents

(1,431,141

)

1,506,018

Cash and cash equivalents, beginning of year

2,098,331

592,313

Cash and cash equivalents, end of year

$

667,190

$

2,098,331

Supplemental disclosure

Cash paid for interest

$

177,924

$

241,025

Non-cash investing activities

In December 2012, the Company acquired lawn mowers for approximately $80,500 through a capital lease obligation.

In December 2012, the Company entered into a capital lease agreement for new golf carts with a value of approximately $295, 000. The Company received $39,000
for trade-ins and recorded a capital lease obligation for approximately $256,000.

As a result of a fire on the property that occurred in September 2013,
additional net insurance proceeds from a fire casualty of $650,000 that are to be received in 2014 are recorded in trade accounts receivable and included in the gain on disposal of property, buildings and equipment.

The accompanying notes are an integral part of these financial statements.

Saddlebrook Resorts, Inc. (the Company or SRI), a wholly-owned subsidiary of Saddlebrook Holdings,
Inc. (SHI or the Parent Company), was incorporated in the State of Florida in June 1979 at which time it purchased a golf course and tennis complex, as well as certain undeveloped land, located in Pasco County, Florida, which
was developed as a resort-condominium and residential homes project. Property improvements for the resort include condominiums, most of which were sold to outside parties. The majority of the condominium units sold are provided as hotel
accommodations by their owners under a Rental Pool and Agency Appointment Agreement (the Rental Pool). Other resort facilities include two 18-hole golf courses, 45 tennis courts, three swimming pools, three restaurants, a convention
facility with approximately 95,000 square feet of meeting and function space, a health spa, a fitness center, shops and other facilities necessary for the operation of a resort.

2.

Significant Accounting Policies

A summary of the Companys significant accounting policies are as follows:

Use of Estimates

The
preparation of financial statements in conformity with accounting principles generally accepted in the United States of America (GAAP) requires management to make estimates and assumptions that affect the reported amounts of assets and
liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates.

Cash and Cash Equivalents and Escrowed Cash

All short-term highly liquid instruments purchased with an original maturity of three months or less are considered to be cash equivalents.

The Company places its cash and cash equivalents on deposit with financial institutions in the United States. The Federal Deposit
Insurance Corporation (FDIC) covers $250,000 for substantially all depository accounts. The Company from time to time may have amounts on deposit in excess of the insured limits. As of December 31, 2013, the Company had cash
balances of approximately $ 888,000 which exceeded these insured limits.

Fair Value of Financial Instruments

The Company measures the fair value of financial assets and liabilities in accordance with GAAP which defines fair value, establishes a
framework for measuring fair value, and expands disclosures about fair value measurements.

GAAP defines fair value as the exchange price
that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. GAAP also
establishes a fair value hierarchy, which requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. GAAP describes three levels of inputs that may be used to measure fair
value:

Level 1  Valuations based on quoted prices for identical assets and liabilities in active markets.

Level 2  Valuations based on observable inputs other than quoted prices included in
Level 1, such as quoted prices for similar assets and liabilities in active markets, quoted prices for identical or similar assets and liabilities in markets that are not active, or other inputs that are observable or can be corroborated by
observable market data.

Level 3  Valuations based on unobservable inputs reflecting our own assumptions, consistent with reasonably
available assumptions made by other market participants. These valuations require significant judgment.

There were no assets or
liabilities that were required to be measured at fair value on a recurring basis on December 31, 2013 or 2012.

The fair value of all
of the Companys other financial assets and liabilities approximate their carrying value due to their short-term nature or market rates of interest associated with long-term obligations.

Accounts Receivable

Substantially all of the Companys accounts receivable are due from direct billings to companies who hold conferences or large group stays
at the resort. Other receivables include quarterly membership fees and credit card charges. The Company performs ongoing credit evaluations of its customers financial conditions and establishes an allowance for doubtful accounts based upon
factors surrounding specific customers, historical trends and other information. The Company generally does not require collateral or other security to support accounts receivable, although advance deposits may be required in certain circumstances.

Resort Inventory and Supplies

Inventory includes operating materials and supplies, principally food and beverage, golf and tennis merchandise, and is accounted for at the
lower of first-in, first-out, average cost or market.

Property, Buildings and Equipment

Property, buildings and equipment are stated at cost. Depreciation is provided over the estimated useful lives of the assets on a straight-line
basis.

Certain expenditures for renewals and improvements that significantly add to or extend the useful life of an asset are capitalized.
Expenditures for repairs and maintenance are charged to expense as incurred. When property, buildings and equipment are retired or otherwise disposed, the cost of the assets and related accumulated depreciation amounts are removed from the accounts,
and any resulting gains or losses are reflected in operations.

Asset Impairments

The Companys management periodically evaluates whether there has been a permanent impairment of long-lived assets (property, buildings
and equipment), in accordance with generally accepted accounting principles. During the years ended December 31, 2013 and 2012, the Companys management evaluated assets for impairment and concluded that the sum of the

undiscounted expected future cash flows (excluding interest charges) from its assets exceeded their then current carrying values. Accordingly, the Company did not recognize an impairment loss
during the years ended December 31, 2013 or 2012.

Deferred Charges

Deferred charges represents costs incurred in connection with the refinancing of the Companys long-term debt. Amortization expense for
deferred charges amounted to approximately $18,000 and $11,000 for the years ended December 31, 2013 and 2012, respectively. Deferred charges of approximately $3,000 are expected to be amortized in 2014.

Deferred Income

Deferred
income includes deferred liabilities related to the sale of gift certificates, prepaid dues, and deferred income of membership initiation fees. Revenue from gift certificates is recorded when the certificate is redeemed. Revenue from dues is
recorded over the annual membership period, and the deferred membership initiation fees are recognized over the historical average life of a membership which approximates 12 years.

Resort Revenues

Resort
revenues are recognized as services are performed or products are delivered with the exception of initiation fee revenue, which is recognized over the average life of the memberships. Resort revenues also include rental revenues for condominium
units owned by third parties participating in the Rental Pool. If these rental units were owned by the Company, normal costs associated with ownership such as depreciation, real estate taxes, unit maintenance and other costs would have been
incurred. Instead, operating costs of the resort for the years ended December 31, 2013 and 2012 include rental pool distributions to participants and the maintenance escrow fund approximating $2,400,000 and $3,000,000, respectively.

Advertising

The Company
charges costs of advertising to sales and marketing as incurred. The Company incurred advertising costs of approximately $231,000 and $299,000 during the years ended December 31, 2013 and 2012, respectively.

Income Taxes

The Company
is currently a Qualified Subchapter S Subsidiary. Accordingly, no income tax expense was reflected in the Companys operating results as the tax is assessed to the shareholders of its parent company.

Management has determined that the Company had no uncertain income tax positions that could have a significant effect on the financial
statements at December 31, 2013 or 2012. The parent companys federal income tax returns for 2010, 2011 and 2012 are subject to examination by the Internal Revenue Service, generally for a period of three years after the federal income tax
returns were filed.

Employee Benefit Plan

The Company sponsors a defined contribution plan (the Plan), which provides retirement benefits for all eligible employees who have
elected to participate. Employees must fulfill a one year service requirement to be eligible. The Company indefinitely suspended matching contributions effective with the year ended December 31, 2009 and has continued the suspension through
2013.

From time to time, new accounting pronouncements are issued by the Financial Accounting Standards Board or other standard setting bodies that
may have an impact on our accounting and reporting. We believe that such recently issued accounting pronouncements and other authoritative guidance for which the effective date is in the future either will not have an impact on our accounting or
reporting or that such impact will not be material to our financial position, results of operations, and cash flows when implemented.

3.

Managements Plans Regarding Liquidity and Capital Resources

As a result of the continuing economic recession, the hospitality industry has suffered declines in terms of hotel rates and
occupancy during 2013 and 2012. These negative industry trends have similarly impacted the Companys revenues during this period, which contributed to the Companys approximate $823,000 net loss in 2013 and an approximate $2,722,000 net
loss in 2012.

In response to this situation, management has implemented the following programs and measures to help the Company mitigate
these unfavorable conditions:

A. Management has continued its focus on controlling the variable costs for the Company. This includes
reducing labor costs and sales and marketing expenses by actively reviewing the Companys lodging, food and beverage, and facilities demands and attempting to match them with the appropriate level of resources.

B. During the first quarter of 2014, the Company has experienced increased resort revenues primarily due to increased group bookings and the
related activity compared to the same period in 2013. During 2013 and through the first quarter of 2014, the Company has continued to invest significantly in the grounds and building exteriors to increase the attractiveness of the Resort for
potential group and social customers planning for conferences, meetings or social events such as weddings. As a result of this investment, the Company has experienced and expects to continue to experience increased group bookings for the remainder
of the first half of 2014. These increased bookings are expected to positively impact the Companys results of operations and cash flows during 2014.

C. The Company is in its fourth year of its association with two top golf teaching professionals which has significantly increased the brand
awareness and recognition of the Companys affiliated Golf and Tennis Academy by industry leaders. As stated above, the Company has significantly invested in the Resorts grounds, specifically upgraded golf training facilities. In
addition, the Company has been and will continue to appeal to international students by aligning with organizations that have the ability to direct these potential students to the Golf and Tennis Academy. These investments have resulted in increased
numbers of students attending the Golf and Tennis Academy during 2013 and 2014.

The Companys ultimate shareholder has the financial
ability and intent to continue to fund operations through affiliated companies that are 100% owned by the Companys ultimate shareholder to the extent required to support the Companys operations. During 2013, the Company received
approximately $1 million in loans from these affiliated Companies which was a reduction of the amount of loans the Company received from these affiliated entities by approximately $1.6 million in 2012. In addition to the shareholders financial
ability, these affiliated companies are expected to continue to generate positive cash flows during fiscal 2014 should additional funding be required to support the Companys operations.

The Companys term note obtained from a third party lender matures in March 2014. The Companys third party lender has granted an
extension to the above date for ninety days. The Company is currently in negotiations with several third party lenders to refinance the existing term note. The Companys ultimate shareholder has the financial ability to satisfy the current term
note due June 12, 2014, should the Company be delayed in securing replacement financing.

Escrowed cash, restricted as to use, as of December 31, is comprised of the following:

2013

2012

Rental pool unit owner deposits for maintenance reserve fund held in a bank account which bears an interest rate of 0.15%

$

221,846

$

237,059

Security deposits held on long-term rentals

20,200

21,882

$

242,046

$

258,941

5.

Property, Buildings and Equipment, Net

Property, buildings and equipment as of December 31, consist of the following:

EstimatedUsefulLives

2013

2012

Land and land improvements

$

7,623,070

$

6,802,067

Buildings and recreational facilities

1040

30,551,220

30,321,030

Machinery and equipment

515

17,368,327

18,343,095

Construction in progress

693,881

1,163,830

56,236,498

56,630,022

Accumulated depreciation

(36,886,645

)

(36,098,671

)

$

19,349,853

$

20,531,351

Substantially all property, buildings and equipment are mortgaged, pledged or otherwise subject to lien under a
loan agreement (Note 7).

Depreciation expense amounted to approximately $1,870,670 and $1,850,328 for the years ended December 31,
2013 and 2012, respectively.

During 2013 and 2012, the Company leased equipment under an agreement which is classified as a capital lease
obligation in the accompanying balance sheets. The equipment and obligations related to the leases are recorded at the present value of the minimum lease payments. Depreciation is computed on a straight-line basis over the estimated useful lives of
the assets. Total cost of the equipment and vehicles acquired through capital lease obligations was approximately $ 336,000 and accumulated amortization was $60,198 at December 31, 2013.

Accrued expenses and other liabilities as of December 31 consist of the following:

2013

2012

Accrued payroll and related expenses

$

729,212

$

728,825

Accrued insurance

489,467

840,986

Other accrued expenses and liabilities

269,314

183,615

$

1,487,993

$

1,753,426

7.

Long-term Debt and Capital Lease Obligations

Long-term debt at December 31 consists of the following:

2013

2012

Note payable to lender

$

4,530,334

$

6,607,667

Less current portion

(4,530,334

)

(2,077,332

)

$



$

4,530,335

The term note was due March 12, 2014; however the Companys third party lender has granted an
extension on the existing term note through June 12, 2014. The note requires monthly principal payments of $48,111, together with monthly payment of all accrued interest. The term note bears interest at 2.5% over the one month LIBOR index. The rate
at December 31, 2013 was 2.69%. The note is collateralized by all current and subsequently acquired real and personal property. The Company is required to maintain an annual minimum debt service coverage ratio as defined in the Agreement. As of
December 31, 2013, the Company was in compliance with the debt service coverage ratio. The Company is currently in negotiations with several third party lenders to refinance the existing term note. The Companys ultimate shareholder has
the financial ability to satisfy the current term note due June 12, 2014, should the Company be delayed in securing replacement financing.

The Company had a $1,500,000 line of credit from the same lender that expired on June 30, 2013 and was fully repaid on that date.

On December 13, 2012, the Company entered into a capital lease obligation for equipment
in the amount of $80,479. The capital lease is secured by the equipment purchased, matures in November 2017 and requires monthly payments of $1,426, including interest at 2.44%.

On December 2, 2012, the Company entered into a capital lease obligation for equipment in the amount of $255,874. The assets associated
with this lease cost $294,724, of which $38,850 was reduced through the Companys trade-in of existing equipment. This capital lease is secured by the equipment purchased, matures in December 2017 and requires monthly payments of $4,995,
including interest at 6.41%, beginning in January 2013.

Future minimum payments under the capital lease obligations at December 31,
2013 were as follows:

Saddlebrook International Tennis, Inc. (SIT), which is soley owned by SHI, owns a
70% interest in Saddlebrook International Sports, LLC (SIS) which operates a tennis training facility and preparatory school at the Resort. SIS owns 10 condominium units at the Resort, two of which participate in the Rental Pool
Operation. The Company received revenue from SIS for use of its facilities and services provided to SIS and its guests, which amounted to approximately $1,473,000 and $1,714,000 for the years ended December 31, 2013 and 2012, respectively. The
Company had amounts due from SIS for a total of $27,764 and $140,503 as of December 31, 2013 and 2012, respectively.

Saddlebrook
Investments, Inc. is a broker/dealer for sales of Saddlebrook Resort condominium units. Saddlebrook Realty, Inc. is a broker for the sale of other general real estate. These companies are solely owned by a shareholder of the Companys parent.

Dempsey and Daughters, Inc. holds certain tracts of real estate and owns 24 individual condominium units at the Resort, 10 of which
participate in the Rental Pool Operation. This company is solely owned by SHI.

The Company performs certain accounting and property
management activities on behalf of the Saddlebrook Resort Condominium Association (the Association) and is reimbursed for expenses paid on behalf of the Association. Expenses paid on behalf of and services provided to the Association
amounted to approximately $1,521,000 and $1,445,000 for the years ended December 31, 2013 and 2012, respectively.

Other related party
receivables and payables consist of transactions with several other entities, along with receivables from employees for resort charges and travel advances.

In October 2013 the Company entered into a rental agreement with SIT for certain equipment used by SRI. The terms of the agreement are 48
monthly payments of $8,712.14 began in October 2013.

10.

Commitments and Contingencies

The Company is involved in litigation in the ordinary course of business. In the opinion of management, these matters are
adequately covered by insurance or indemnification from other third parties and/or the effect, if any, of these claims is not material to the reported financial condition or results of operations of the Company as of December 31, 2013.

During February 2011, the Company entered into a five-year professional services agreement with a company that specializes in golf instruction
and player development with its primary focus on the development and support of the junior golf students enrolled at the Companys golf academy. The Company is obligated to pay a specified amount per semester for each student enrolled in the
golf academy. The Company is also obligated to pay a commission for each student that the golf instruction company recruits to the golf academy. During the years ended December 31, 2013 and 2012, the Company paid approximately $96,000 and
$97,000, respectively, under this agreement.

During the year ended December 31, 2012, the Company entered into a supply chain
agreement with an external purchasing organization to purchase certain inventory and supplies. The agreement calls for the Company to purchase at least 80% of its annual purchase requirements for these items, which is estimated to be $2.9 million
with the external organization. As of December 31, 2013 the Company did not meet the purchase requirement of $2.9 million with the external organization. The external purchasing organization, in accordance with the agreement, does not have any
fees for cancellation of the agreement if the purchase levels are not met; however, the organization will reassess the annual purchase requirement. The agreement has an initial term of two years and expires September 8, 2014.

The Company also leases equipment under operating leases. Some of the leases contain annual renewal options after the initial lease term. Lease
expense amounted to approximately $69,000 for each of the years ended December 31, 2013 and 2012.

Future minimum lease payments under
non-cancelable operating leases with initial lease terms in excess of one year are as follows:

2014

$

74,971

2015

24,805

$

99,776

11.

Investment in Stock

In 1993, the Company invested in and formed a captive insurance company, Resort Hotel Insurance Company (RHIC),
with other resorts participating in Resort Hotel Association (RHA), an insurance risk purchasing group. The Company retains an equity interest in and pays insurance premiums to RHIC. The Companys ownership is less than 10% and all
amounts contributed as capital ($132,866 as of December 31, 2013) and the increase in equity cumulative to date ($272,786 as of December 31, 2013) are recorded as a component of prepaid expenses and other assets in the accompanying balance
sheets. Any change in equity is reflected as a component of other income in the statements of operations. The Companys investment approximates the proportionate net book value of the insurance company at December 31, 2013. The
Companys stock in RHIC is restricted and may not be sold in the open market. The Company may withdraw from RHA annually at the renewal date of any of its property or casualty policies.

12.

Insurance Claim

On September 30, 2013, the Company experienced damage to storage facilities and equipment due to a fire. As of December 31,
2013, the Company has incurred approximately $131,000 toward the repair of the facility and replacement of equipment. The Company filed an insurance claim and received $300,000 toward the settlement of the insurance claim.

The insurance proceeds approximately $658,000 , net of expenses not related to the replacement of the facility or equipment, is recorded in
income from operations in the accompanying 2013 statement of operations.

The Company estimates that all of the remaining costs related to
this event, net of $100,000 insurance deductible, will be reimbursed by insurance. However, actual amounts reimbursed could differ from estimate. Insurance proceeds, of approximately $650,000 is expected to be received during 2014 and have been
recorded as other receivable at December 31, 2013.

We have audited the accompanying balance
sheets of Saddlebrook Rental Pool Operation (funds created for participants who have entered into a rental pool agreement as explained in Note 1) as of December 31, 2013 and 2012 and the related statements of operations and changes in
participants fund balance for the years then ended. These financial statements are the responsibility of the rental pool operators management. Our responsibility is to express an opinion on these financial statements based on our audits.

We conducted our audits in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that
we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. The Company is not required to have, nor were we engaged to perform, an audit of its internal control over
financial reporting. Our audits included consideration of internal control over financial reporting as a basis for designing audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the
effectiveness of the Companys internal control over financial reporting. Accordingly, we express no such opinion. An audit also includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements,
assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audits provide a reasonable basis for our opinion.

In our opinion, such financial statements present fairly, in all material respects, the financial position of Saddlebrook Rental Pool Operation as of
December 31, 2013 and 2012 and the results of its operations and changes in participants fund balance for the years then ended, in conformity with accounting principles generally accepted in the United States of America.

Condominium units are provided as rental (hotel) accommodations by their owners under the Rental Pool and Agency Appointment
Agreement (the Agreement) with Saddlebrook Resorts, Inc. (collectively, the Rental Pool). Saddlebrook Resorts, Inc. (Saddlebrook) acts as operator of the Rental Pool which provides for the distribution of a
percentage of net rental income, as defined, to the owners.

The Saddlebrook Rental Pool Operation consists of two funds: the Rental Pool
Income Distribution Fund (Distribution Fund) and the Maintenance and Furniture Replacement Escrow Fund (Maintenance Escrow Fund). The operations of the Distribution Fund reflect the earnings of the Rental Pool. The
Distribution Fund balance sheets reflect amounts due from Saddlebrook for the rental pool distribution payable to participants and amounts due to the Maintenance Escrow Fund. The amounts due from Saddlebrook are required to be distributed no later
than forty-five days following the end of each calendar quarter. The Maintenance Escrow Fund reflects the accounting for escrowed assets used to maintain unit interiors and replace furniture as it becomes necessary.

Rental pool participants and Saddlebrook share rental revenues according to the provisions of the Agreement. Net Rental Income shared consists
of rentals received less a marketing surcharge of 7.5%, a 12.5% management fee, travel agent commissions, credit card expense and provision for bad debts, if warranted. Saddlebrook receives 45% of Net Rental Income as operator of the Rental Pool.
The remaining 55% of Net Rental Income, after adjustments for complimentary room revenues (ten percent of the normal unit rental price paid by Saddlebrook for promotional use of the unit) and certain minor repair and replacement charges, is
available for distribution to the participants and maintenance escrow fund based upon each participants respective participation factor (computed using the value of a furnished unit and the number of days it was available to the pool).
Quarterly, 45% of Net Rental Income is distributed to participants and 10%, as adjusted for complimentary room revenues and minor interior maintenance and replacement charges, is deposited in an escrow account until a maximum of 20% of the set value
of the individual owners furniture package has been accumulated. Excess escrow balances are refunded to participants.

2.

Summary of Significant Accounting Policies

Basis of Accounting

The accounting records of the funds are maintained on the accrual basis of accounting.

Income Taxes

No federal
or state taxes have been reflected in the accompanying financial statements as the tax effect of fund activities accrues to the rental pool participants and Saddlebrook.